Global Digital Agriculture Market Forecast to 2028: Growth in Need for Optimization in Light of Ecological Changes

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Mar 05, 2024, 22:30 ET

DUBLIN, March 5, 2024 /PRNewswire/ -- The "Global Digital Agriculture Market by Offering, Technology (Peripheral, Core), Operation (Farming & Feeding, Monitoring & Scouting, Marketing & Demand Generation) Type (Hardware, Software, Services), and Region - Forecast to 2028" report has been added to ResearchAndMarkets.com's offering.

The digital agriculture market is projected to grow from USD 22.0 Billion in 2023 to USD 36.0 Billion by 2028, at a CAGR of 10.3% during the forecast period. The digital agriculture industry is undergoing a major transformation, fueled by emerging technologies like artificial intelligence (AI), big data, blockchain, cloud computing, etc. These forces are working together to revolutionize the way we grow, manage, and distribute food, with significant impacts on transparency, efficiency, and sustainability.

Blockchain can integrate data from various sources like weather sensors, soil analysis, and satellite imagery to provide farmers with real-time insights on irrigation, fertilization, and pest control. AI systems can examine digital images taken by drones, agricultural robots, or farmers using a simple smartphone camera to detect pests and give concrete advice to agricultural workers on how to prevent their spread, treat affected plants, or mitigate the damage caused. At the same time, AI can analyze data on the behavior of livestock to detect abnormalities and identify potentially sick animals, thus allowing timely treatment. (Source: FAO and International Telecommunication Union Report, 2021).

Moreover, the pervasive nature, ease of use, and mobility of digital technologies are reshaping the landscape of agriculture and food production. Particularly in the agriculture and food sector, the proliferation of mobile technologies, remote-sensing services, and distributed computing is already enhancing smallholders' access to vital information, inputs, and markets. This transformation is leading to increased production and productivity, more efficient supply chains, and reduced operational costs. Thus, this data-driven approach optimizes resource allocation, reduces waste, and leads to increased yields.

During the projected period, the monitoring & scouting category within the spectrum of operation segment is anticipated to exhibit the most rapid growth, boasting the highest Compound Annual Growth Rate (CAGR)

In the digital agriculture industry, monitoring and scouting are two crucial practices that leverage technology to gain real-time insights into the health and performance of crops. Monitoring and scouting are essential tools in digital agriculture, allowing farmers to proactively manage their crops, optimize resources, and maximize yield. These techniques, powered by various technologies like sensors, drones, and AI, provide farmers with real-time data and insights to make informed decisions. By continuously collecting and analyzing data, farmers can make informed decisions that lead to a healthier, more productive, and sustainable farm operation.

Moreover, the integration with the SAS (Satellite Agriculture Solution) system enables precise resource allocation, optimizing the use of water, fertilizers, and pesticides based on the specific needs of different parts of the field. As stated in the Artificial Intelligence for Agriculture Report of the International Telecommunication Union (ITU), and FAO (2021), XAG has mobilized its partners and service providers to serve 40 million hectares of farmland with smart agtech, contributing to a total increase in crop yield of 3 490 000 tonnes. Farming labor costs have also been substantially reduced while removing occupational health risks for field workers. Thus, the integration of AI, as exemplified by XAG's initiative, showcases the transformative potential of digital agriculture. It not only addresses specific challenges in monitoring and scouting but also contributes to the overall efficiency, sustainability, and productivity of modern farming practices.

Peripheral technology is dominant within the technology segment of the market

Peripheral technologies in digital agriculture are essentially the sensors, actuators, and other devices that collect and transmit data about the farm environment and the crops or livestock being raised. These devices can be mounted on drones, tractors, irrigation systems, or even directly on plants or animals. They can measure a wide range of factors, such as soil moisture, nutrient levels, temperature, humidity, pest and disease pressure, and plant growth. Platforms and apps that provide real-time data on soil health, crop conditions, and weather patterns are in high demand. This allows farmers to optimize irrigation, fertilizer application, and pest control, leading to increased yield and reduced costs.

The dominance of peripheral technology in the digital agriculture market is expected to continue in the coming years. As the cost of sensors and other peripheral technologies continues to decline, and as farmers become more comfortable with using data to make decisions, the adoption of these technologies is likely to accelerate.

The report provides insights on the following:

Analysis of key drivers (Demand for optimization of farm management using agricultural services and software integration, Increase in initiatives by the government and key players operating in the market, Growth in concerns regarding ecosystem change, Increasing adoption of IoT and AI by farmers and agriculturists), restraints (Lack of technical knowledge and training activities, and Large number of fragmented lands in developing countries), opportunity (Increase in the use of agricultural-based software via smartphones, and Early detection of crop diseases and ease of farm management), and challenges (High cost of devices and software to impact adoption among small-scale farmers, and Rise in concerns regarding data management and requirement for adequate training) influencing the growth of the digital agriculture market.
Product Development/Innovation: Detailed insights on upcoming technologies, research & development activities, and new product & service launches in the digital agriculture market.
Market Development: Comprehensive information about lucrative markets - the report analyses the digital agriculture market across varied regions.
Market Diversification: Exhaustive information about new products & services, untapped geographies, recent developments, and investments in the digital agriculture market.
Competitive Assessment: In-depth assessment of market shares, growth strategies, and service offerings of leading players like Cisco Systems, Inc. (US), IBM Corporation (US), Accenture (Ireland), Deere & Company (US), and Trimble Inc. (US) among others in the digital agriculture market strategies. The report also helps stakeholders understand the digital agriculture market and provides them with information on key market drivers, restraints, challenges, and opportunities.

Key Topics Covered:

1 Introduction

2 Research Methodology

3 Executive Summary
Table 3 Digital Agriculture Market Snapshot, 2023 vs. 2028
Figure 14 Digital Agriculture Market, by Type, 2023 vs. 2028 (USD Million)
Figure 15 Digital Agriculture Market, by Operation, 2023 vs. 2028 (USD Million)
Figure 16 Digital Agriculture Market, by Offering, 2023 vs. 2028 (USD Million)
Figure 17 Digital Agriculture Market, by Technology, 2023 vs. 2028 (USD Million)
Figure 18 Digital Agriculture Market Share (Value), by Region, 2023

4 Premium Insights
4.1 Attractive Opportunities in Digital Agriculture Market - High Adoption of Digital Agriculture in Developing Markets to Fuel Market Growth
4.2 Digital Agriculture Market: Share of Major Regional Submarkets - US to Account for Largest Share During Forecast Period
4.3 Asia-Pacific: Digital Agriculture Market, by Type & Country - Hardware and China to Account for Largest Segmental Shares in Asia-Pacific Market in 2023
4.4 Digital Agriculture Market, by Type - Digital Agriculture Hardware to Lead Market Across Regions During Forecast Period
4.5 Digital Agriculture Market, by Operation - Farming & Feeding Operations to Dominate During Forecast Period
4.6 Digital Agriculture Market, by Offering - Precision Agriculture & Farm Management Offering to Account for Lion's Share During Forecast Period
4.7 Digital Agriculture Market, by Technology - Peripheral Technologies to Dominate Digital Agriculture Market During Forecast Period

5 Market Overview
5.1 Introduction
5.2 Macroeconomic Indicators
5.3 Market Dynamics
5.3.1 Drivers
5.3.1.1 Demand for Optimization of Farm Management Using Agricultural Services and Software Integration.
5.3.1.2 Increase in Initiatives by Government and Key Players
5.3.1.3 Growth in Need for Optimization in Light of Ecological Changes
5.3.1.4 Increase in Adoption of IoT and AI by Farmers and Agriculturists
5.3.2 Restraints
5.3.2.1 Lack of Technical Knowledge and Training Activities
5.3.2.2 Large Number of Fragmented Lands in Emerging Economies
5.3.3 Opportunities
5.3.3.1 Increase in Use of Agriculture-based Software Via Smartphones
5.3.3.2 Early Detection of Crop Diseases and Ease of Farm Management
5.3.4 Challenges
5.3.4.1 High Cost of Devices and Software to Impact Adoption Among Small-Scale Farmers
5.3.4.2 Rise in Concerns Regarding Data Management and Requirement for Adequate Training

6 Industry Trends
6.1 Introduction
6.2 Current Landscape of Agricultural Industry:
6.3 Value Chain Analysis
6.4 Technology Analysis
6.4.1 Existing Technologies in Digital Agriculture
6.4.2 Emerging Technologies in Digital Agriculture
6.5 Patent Analysis
6.6 Ecosystem and Market Map
6.7 Trade Analysis
6.8 Pricing Analysis
6.9 Trends/Disruptions Impacting Customers' Businesses
6.10 Key Conferences & Events
6.11 Tariff and Regulatory Landscape
6.12 Case Study Analysis
6.12.1 Pvt Agriculture Used Hexagon's Displays to Improve Sales of Sprayers
6.12.2 Anna Binna Farms Used Agworld Software Platforms for Farm Record-Keeping
6.12.3 Agtech-Driven Solutions Used for Bridging Gaps in Access, Advisory, and Quality Inputs in Indian Farming
6.13 Porter's Five Forces Analysis
6.14 Key Stakeholders & Buying Criteria

7 Digital Agriculture Market, by Offering

8 Digital Agriculture Market, by Technology

9 Digital Agriculture Market, by Operation

10 Digital Agriculture Market, by Type

11 Digital Agriculture Market, by Region

12 Competitive Landscape

13 Company Profiles

Cisco Systems
IBM
Accenture
Deere & Company
Trimble Inc.
Akva Group
Hexagon Ab
Bayer AG
Agco Corporation
Delaval
Dji
Epicor Software Corporation
Vodafone Group PLC
Raven Industries, Inc.
Eurofins Scientific
Telus
Small Robot Company
Gamaya
Precisionhawk
Agricultural Consulting Services
Agreena
Ceres Imaging
Zemdirbiu Konsultacijos Uab
Ec2Ce
Arable

For more information about this report visit https://www.researchandmarkets.com/r/krhroo

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